TikTok, other China-linked apps, thrived in the U.S. in 2025
TikTok discussions overshadowed US-China tariff negotiations in the latest round of negotiations.
Anna Barclay | Getty Images News | Getty Images
TikTok announces new US initiative to continue operating there after years of concerns about its links to China. But despite being virtually banned and facing scrutiny from authorities, The short video platform still dominates in 2025.
The app, owned by Beijing-based ByteDance, became the second most downloaded app on the Apple App Store and Google Play Store in the US in 2025, according to Sensor Tower data, and almost defied the ban in the market.
Another ByteDance app, CapCut, ranked fourth, up three spots from the video editing tool’s year-ago figure.
Other China-linked apps also had strong showings in U.S. app stores in 2025, according to Sensor Tower data; Large e-commerce players such as Temu and Shein have thrived even as they have been targeted by policy changes..
Temu, which is running a high-profile Super Bowl ad campaign in 2024, It fell from the top position that year, but it still ranks seventh in 2025 even if U.S. President Donald Trump’s tariffs upend its business model.
U.S. President Donald Trump speaks after signing an executive order on a deal that will move TikTok’s U.S. operations away from its Chinese owner, ByteDance, at the White House in Washington DC, U.S., on September 25, 2025.
Kevin Lamarque | Reuters
Although Shein is not among the top 10 most downloaded applications overall, it was the most downloaded application in the ready-to-wear shopping category in the USA in 2025.
Separately, OpenAI’s ChatGPT It became America’s most downloaded app last year as adoption of generative AI continues to expand.
Sensor Tower’s data shows US consumers continue to favor emerging apps China is often synonymous with addictive algorithms, affordability and convenience.
“2025 has shown that these apps originating from China are not just policy arbitrageurs, but also adaptable ecosystems with governance capabilities on both the demand and supply sides,” said Liang Chen, Professor of Strategy and Entrepreneurship at Singapore Management University., he told CNBC.
defy the ban
Before the announcement of the US joint venture on Thursday, TikTok faced months of uncertainty in 2025. The Supreme Court in January upheld a law that effectively bans the video-sharing app from U.S. app stores unless ByteDance withdraws from the platform.
The law, signed by President Joe Biden in April 2024, addressed the risks of the Chinese government accessing user data for surveillance or influence operations.
Although TikTok briefly went dark in January, the law was never implemented. After Trump took office, he repeatedly extended the law’s deadline while negotiating a divestment deal.
The threat of banning TikTok has also led to increased interest in Chinese alternatives such as Xiaohongshu, known in English as RedNote.
Despite the uncertainty, interest in the TikTok app has not only remained constant, but the app has also managed to expand its scope.–TikTok Shop, which is a commercial enterprise, It allows users to purchase products directly through videos and live broadcasts.
The company said: new joint venture plansTikTok Global’s U.S. entities will continue to manage certain business activities, including e-commerce and advertising.
TikTok’s U.S. revenues, including ad revenue, in-app purchases and commerce, rose 26.2% annually to $13.9 billion, following 25.7% growth in 2024, according to data from retail consulting firm Coresight.
“TikTok’s success in 2025 demonstrates a way to tackle geopolitical challenges despite the ever-worsening US-China relationship – a rare example of smart business strategy trumping politics,” said Xiaoming Lu, director of geotechnology at Eurasia Group.
He added that the app looks set to finalize its deal with US investors and that multiple Trump-Xi meetings are planned throughout the year.
Temu, Shein and e-commerce
TikTok Shop rivals Temu and Shein also remained major players in the U.S. last year despite new tariffs and increased government oversight of labor practices, supply chains and product safety.
The most important of these negativities was that the Trump administration closed the “de minimis” trade deficit on May 2 and imposed wider customs duties on imports from China. The “de minimis” rule allowed packages valued under $800 to enter the United States duty-free.
Although Shein and Temu have moved their headquarters out of China in recent years, most of their operations and suppliers remain in the country.
An employee packs clothes for online Chinese e-commerce company Temu at a clothing factory in Guangzhou, south China’s Guangdong province, on April 16, 2025.
Jade Gao | Afp | Getty Images
Analysts said both companies adapted to the tariffs by negotiating lower supplier prices, absorbing some of the tariff costs and expanding their supply networks beyond China, including the United States.
Coresight forecasts Shein’s US revenue rising 16.8% annually to $14.6 billion in 2025. Meanwhile, Temu’s gross business values rose 21.8% year on year to $27.4 billion.
“[Policy] The shocks in 2025 did not actually eliminate demand. On the contrary, these platforms have proven that they can adapt their logistics, business mix and incentive designs faster than consumer habits change,” said Chen from Singapore Management University.
secret sauce
Analysts said the staying power of apps like TikTok, Temu and Shein stems from their attention-focused platforms and algorithms.
“The success of Temu, Shein, and TikTok Shop fundamentally reflects a shift in demand creation: a shift from legacy marketing tactics like simple ad spend and display campaigns to a sustained, attention-economy strategy,” said Scott Miller, CEO of e-commerce consulting firm pdPlus. he said.
“Their growth demonstrates that American consumers are now discovering products through highly engaging, viral and personalized content, making demand creation a function of entertainment and ongoing digital presence rather than traditional top-down branding,” he added.
The same algorithms and features have also been subject to scrutiny from US regulators. For example, officials have expressed national security concerns about TikTok’s recommendation algorithm, pointing to its potential for manipulation by the Chinese government.
Regulators also flagged data privacy and national security risks tied to Temu and Shein’s data collection practices.
Despite these concerns, the apps continued to attract the attention of US users and shoppers.
“American consumers generally don’t care much about an app’s affiliation with a particular country As long as they can find what they want at an affordable price,” Yao Jin, an associate professor of supply chain management at the University of Miami, said:
“[That] Many of the Chinese-origin apps have no full competitive advantage.“
